The European Anti-Fraud Office (OLAF) has investigated a fraud of over EUR 400,000, related to a project to improve the detection of forest fires, carried out by a consortium of five small and medium companies in France, Ireland, Romania, and Spain, News.ro reported.

The funds have apparently been invested in a casino hotel in Cyprus, according to a statement to the institution. OLAF hasn't revealed the identity of the firms.

The project that was supposed to be implemented by the consortium was funded by the Executive Agency for Research (REA).

During the project, REA became concerned that some requests for personnel costs by the consortium could be false and reported its suspicions to OLAF. As a result, OLAF has opened an investigation into the possible misuse of EU funding.

Following the investigation, OLAF established that this consortium never had the operational capacity to implement the project. The application for funding and subsequent reports on the progress of the project were based on false statements and documents. The members of the consortium diverted most European funds into developing a casino hotel in Cyprus.

(Photo: OLAF Media Corner)

editor@romania-insider.com